Digital Number Plates Scandal: Auditors Arrested for Failing to Audit ITMS Project

Uganda’s controversial digital number plates project is facing fresh scrutiny in Parliament, with lawmakers widening their investigation into the government’s US$257 million deal with a Russian company amid questions about procurement procedures, the legality of the contract and the financial arrangements underpinning the system.

The investigation by Parliament’s Committee on Physical Infrastructure has brought several government agencies under scrutiny as MPs seek to establish how the Intelligent Transport Management System (ITMS) was procured, whether the agreement complied with Ugandan law and whether the project has delivered the benefits promised by its promoters.

The committee, chaired by Mbarara City South MP Mwine Mpaka, has examined the circumstances under which Joint Stock Company Global Security (JSCGS) secured the contract, the company’s role in implementing the system and the government’s obligations under the agreement.

The inquiry has also exposed disagreements within government over the project’s legality, the technology being deployed and the involvement of security agencies in its procurement.

The Russian company was contracted in July 2021 under a 10-year agreement to introduce digital number plates and vehicle-monitoring technology intended to help security agencies identify and track vehicles and motorcycles.

However, the project has attracted growing criticism over its cost, the company’s position in the market and concerns about whether the government adequately scrutinised the agreement before committing public resources.

The latest development in the parliamentary investigation has now turned attention to the country’s independent public audit function.

On Wednesday, October 14, 2026, Mpaka directed police to hold two senior officials from the Office of the Auditor General after they failed to provide a satisfactory explanation for why an audit of the ITMS project had not been conducted.

The officials are Anthony Kimuli, Director of Value for Money and Specialised Audit, and Martin Bamulumbye, Director of Central Government Audit.

Mpaka directed the two officials to record statements and remain in police custody until Auditor General Edward Akol appears before the committee to explain the failure to audit the project.

The committee has also summoned officials from the Ministry of Finance, Planning and Economic Development to appear on Thursday, October 15, 2026.

The officials risk arrest if they fail to comply with the summons, the committee warned.

The latest summons follow three previous failures by Finance Ministry officials to appear before the lawmakers, despite assurances that they would attend.

The committee is investigating the award of the US$257 million ITMS contract to JSCGS and the circumstances surrounding the implementation of the project.

Russian company at the centre of the investigation

The government signed the 10-year ITMS agreement with JSCGS in July 2021. The project introduced digital number plates and vehicle-monitoring technology intended to strengthen security and improve the identification and tracking of vehicles on Ugandan roads.

However, the arrangement has faced questions about the process through which the Russian company was selected, the cost of the project and the extent to which the government has benefited from the system.

The Uganda Manufacturers Association has also raised concerns about the monopoly granted to the Russian firm, arguing that the arrangement has affected local manufacturers and raised questions about the government’s decision to entrust the project to a single foreign company.

The parliamentary inquiry has examined concerns about the pace of number plate issuance, the project’s revenue arrangements and the benefits expected from the technology.

No evidence of JSCGS implementing a similar digital number plate project in another country has been independently established. Reports also indicate that the company’s previous work had largely involved military subcontracting.

The company’s background and experience have consequently become part of the broader questions surrounding the government’s decision to award it the contract.

Attorney General questions legality of contract

The legal status of the agreement has emerged as one of the most contentious issues in the parliamentary investigation.

On October 6, 2026, Attorney General Sam Mayanja told the Committee on Physical Infrastructure that the July 2021 agreement between the government and JSCGS was legally null and unenforceable.

Mayanja argued that the contract violated existing Ugandan laws and failed to satisfy fundamental legal requirements.

He also questioned provisions allowing the private company to benefit from fines, raising concerns about whether the collection of government fines under the arrangement complied with the law.

His position intensified scrutiny of the agreement and raised questions about the legal basis on which the government entered into the arrangement.

JSCGS, however, has defended the contract.

On October 12, the Russian company presented documents to Parliament that it said demonstrated that the agreement had been concluded in accordance with the required legal and procedural processes.

The committee is continuing to hear from the parties as it examines the competing positions on the agreement.

Otafiire questions procurement and technology

On October 13, Minister of Water and Environment Kahinda Otafiire, who previously served as Minister of Internal Affairs, told the committee that the police were not involved in procuring the ITMS project.

Otafiire questioned the value of the technology and raised concerns about its compatibility with Chinese technology used in existing surveillance cameras.

He also told lawmakers that he had resisted the project because of concerns about the technology before facing pressure to allow it to proceed.

His testimony added to questions about the procurement process, the technical suitability of the system and the roles played by different government agencies in bringing the project into operation.

Audit failure puts government oversight under scrutiny

The detention of the two audit officials marks a new stage in the parliamentary inquiry, shifting attention from the Russian contractor and the contract itself to the government institutions responsible for monitoring public expenditure.

The Office of the Auditor General is responsible for auditing public accounts and examining the use of public resources. A value-for-money audit can also assess whether government projects have been implemented economically, efficiently and effectively.

The committee’s demand for an explanation from Akol raises questions about whether the ITMS project received the independent scrutiny necessary to establish how public resources were committed and whether the agreement offers value to the government.

The Finance Ministry officials are also expected to explain issues within their mandate as the committee continues examining the contract and its financial implications.

The inquiry is ongoing, and the committee is expected to hear from additional officials and stakeholders before drawing conclusions about the procurement, implementation and oversight of the project.

It should remembered that other ministry officials were arrested for speaking in tongues on ghost trips and digital number plates, as ministers disowned the project and left the crisis-ridden Russian company at the mercy of Museveni to decide its fate. See Details Here, There and Over There.